LOYOLA COLLEGE (AUTONOMOUS), CHENNAI – 600 034      B.A. DEGREE EXAMINATION – ECONOMICS

AN 13

FIFTH SEMESTER – NOV 2006

         EC 5501 – INTERNATIONAL ECONOMICS

(Also equivalent to ECO 506)

 

 

Date & Time : 27-10-2006/9.00-12.00         Dept. No.                                                        Max. : 100 Marks

 

 

 

Part  – A

 

Answer any FIVE questions in about 75 words each.                     (5 x 4 = 20 marks)

1. Bring out the meaning of international trade?
2. What are the reasons for international trade?
3. Briefly give the meaning of terms of trade.
4. Why should a country need protection?
5. What do you mean by dual exchange rate?
6. How does fixed exchange rate affect the traders?
7. What is factor price equalization?

 

Part – B

 

Answer any FOUR questions in about 300 words each.               (4 x 10 = 40 marks)

8. Explain the interdependence between international and domestic trade.
9. What are the factors affecting terms of trade?
10. Bring out the gains arising out of international trade.
11. Explain the major features of India’s exchange rate policy?
12. Discuss the impact of globalization on international trade.
13. How does the IMF help the developing countries in terms of its functions?
14. Explain the purchasing power parity theory of exchange rate.

 

Part – C

 

Answer any TWO questions in about 900 words each.                 (2 x 20 = 40 marks)

15. Explain the different terms of trade with its significance.
16. Discuss the theory of comparative advantage given by Ricardo.
17. Distinguish between the Classical and the Modern theories of international trade?

Explain the components and direction of India’s foreign trade?

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